3. In the past twenty years USB flash memory sticks have replaced older floppy d

Question

3. In the past twenty years USB flash memory sticks have replaced older floppy disks that could be used to move information from one computer to another. Over that same time period major corporations have adopted "latter" organizational structures, with fewer layers of middle management. Also, fracking technology has greatly increased the amount of oil and natural gas than can be obtained from shale. Which of these innovations is a new product innovation, which is a process innovation, and which is an organizational innovation? Explain.

Explanation / Answer

New product innovation produces a completely new product. Thus, USB flash memory sticks is new product innovation. Process innovation occurs when process improvement occurs in an existing process to deliver service or enhance the production as it is happening in the fracking technology case where improvement in existing process improved the yield. Hence, fracking technology is a process innovation. Organizational innovation occurs when innovation within the organization occurs to improve the efficiency. Hence, the flatter organizational structure is an organizational innovation.

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